Published by Global Banking and Finance Review
Posted on September 24, 2025
1 min readLast updated: January 21, 2026
Denmark's central bank lowers GDP forecasts for 2025-2027, citing US tariffs and pharmaceutical industry slowdown, impacting Novo Nordisk.
COPENHAGEN (Reuters) -Denmark's central bank on Wednesday cut its GDP forecasts for 2025-2027, citing a negative impact from U.S. trade tariffs and weaker growth in the pharmaceuticals industry, where weight-loss drug maker Novo Nordisk has seen rising competition.
It now sees gross domestic product growing by 2% in both 2025 and 2026 against previous predictions, given in March, of 3.6% and 2.3%, respectively. It cut the GDP outlook for 2027 to 1.7% growth from 2%.
"Higher tariffs in the U.S. reduce global trade, which will dampen growth in the Danish economy," Nationalbanken said in a statement.
"Growth in the Danish pharmaceutical industry is also expected to be lower than in previous years," it added.
Novo Nordisk, the maker of blockbuster drug Wegovy has had a miserable year with stalling sales growth, profit warnings and a $400 billion share price plunge that triggered layoffs of some 9,000 people, more than half of them in Denmark.
(Reporting by Anna Ringstrom, editing by Terje Solsvik)
Denmark's central bank cut its GDP forecasts for 2025-2027, now predicting 2% growth in both 2025 and 2026, down from previous estimates of 3.6% and 2.3%.
The central bank cited the negative impact of higher U.S. trade tariffs and a slowdown in the Danish pharmaceuticals industry as key factors for the reduced growth outlook.
The growth in the Danish pharmaceutical industry is expected to be lower than in previous years, with companies like Novo Nordisk facing challenges such as stalled sales growth and profit warnings.
Novo Nordisk has experienced a significant decline in share price, losing $400 billion, which has led to layoffs of approximately 9,000 employees.
Nationalbanken stated that higher tariffs in the U.S. reduce global trade, which will dampen growth in the Danish economy.
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